A big question to ask in regard to helping the needy in this country is this: In a moral, compassionate country like America, is it a good thing that our government takes care of those who have needs? In my simple-thinking mind, the answer is this: Yes and No—but mostly No.

One of the bottom lines (can there be more than one?) in regard to welfare care is this: In a country as good and compassionate as America, if the government gets out of the way of the people, the needy, for the most part, will be provided for. Couple that bottom line with this obvious, but often overlooked fact: When government solves a problem, they are using your money to do it!

No one argues that we have real needs all around us. The arguments erupt when people offer solutions for meeting these needs. When politicians stand up and say they want to spend money to help alleviate suffering, it sounds like a great idea—very compassionate and caring. But there is one huge problem with this idea—the government, in general, does a terrible job with money management. Throw in the idea that it’s your money (and mine) that they are spending so inefficiently and the whole idea takes on a very sour taste.

Consider these stats in regard to government money management:

¨      In the 2003 Financial Report to the United States Government, issued by the Department of the Treasury, there is a section that notes that “unreconciled transactions” totaled $24.5 billion. Unreconciled transactions are funds that can’t be accounted for. In other words, the government knows that $24.5 billion was spent somewhere in 2003, but auditors cannot account for it—they don’t know who spent it or where it was spent.

¨      In a 2003 Department of Agriculture audit report, it was noted that government-issued credit cards that were supposed to be used by employees to purchase job-related products were actually used by employees to purchase millions of dollars in personal items. Among the items on the list were Ozzy Osbourne concert tickets, tattoos, and “exotic attire.”

¨      In 2002, the Department of Education issued $55,000 in student loans to three students attending an obscure college in London. It was discovered later that the three students, and the college, were all fictitious, created by congressional investigators to test the department’s verification process (which hopefully failed the test).

¨      The misuse of FEMA funds in 2005 following Hurricanes Katrina and Rita is already legendary. For example, one individual collected 18 emergency payments of $2,000 each by giving the same name with 18 different Social Security numbers and 12 fake addresses. According to a GAO report, almost half of those who received a $2,000 debit card got paid a second time. It was also discovered that much of the money was spent on such things as casinos and massage parlors. A great deal of money went to people who registered for assistance for both Katrina and Rita.

¨      Finally, in a welfare-related field, Medicare regularly pays enormously higher prices for medical supplies than other medical organizations. For example, in 2002, the inspector general of the U.S. Department of Health and Human Services testified before a Senate subcommittee that Medicare had paid $8.68 per liter of saline solution while the VA health care program had paid only $1.02 for the same product. The study revealed that it was typical for Medicare to pay excessive prices for a great many medical supplies.

These are just a few of the thousands of examples that could be cited that reveal the inefficiency of the massive machine called the United States government. Let me pause here and say again that I love America and believe we have the best governmental system, the best representative democracy, and one of the best economies in the world. However, our government works best when it remains small and focuses on those few things it does best and leaves the rest of life’s solutions in the hands of the American people. I can’t say strongly enough how important it is to the success of our great country for our government to not get too big—to remain a limited representative government. The controversial senator Barry Goldwater understood this concept when he said, “The government that is big enough to give you all you want is big enough to take it all away.” Big government is characterized by far too much bureaucracy, excessive red tape, unnecessary regulations, and inefficiency.

On the surface, the government throwing money in the ring to take care of the needs of our people may sound like a helpful, empathetic idea. The problem is that so often, they are actually just throwing the money out there and hoping it lands in the right place. As we saw with Hurricane Katrina, the target is too often missed by miles. In their defense, we can’t really expect a huge bureaucratic mechanism in Washington to be able to keep a close eye on so many millions of dollars distributed across the country. Does that mean they shouldn’t help at all? Maybe, but if we decide that government should assist with helping the needy, the help needs to be limited, short-term, and responsibility and accountability must be demanded of the recipients of the help. True compassion in this arena is best shown by helping people cultivate a sense of responsibility for their own lives.

I’ll map out a possible welfare plan in the next blog. Thanks for reading